# HEADS OF TERMS FOR COMMERCIAL LEASE
Date: 23 May 2029
Parties: Marshgate Estates Ltd and Fieldstone Coffee Roasters Ltd
## 1. Parties and purpose
Marshgate Estates Ltd and Fieldstone Coffee Roasters Ltd record these heads of terms for Unit 2, Old Foundry Yard, Manchester M1 5GN, a 1,850 square-foot ground-floor retail and roasting unit. The premises and title plan remain subject to legal due diligence and measured survey.
## 2. Scope, price and subject
The proposed lease term is ten years from 1 September 2029, with an upwards-only open-market rent review at year five. Initial rent is £48,000 per annum plus VAT, quarterly in advance. Fieldstone pays a £12,000 rent deposit deed and its proportion of insurance and recoverable service charge.
## 3. Operating duties
The tenant’s permitted use is coffee roasting, café retail and training within the relevant planning and licensing permissions. The tenant must obtain food, alcohol and extraction consents; the landlord gives no warranty that the proposed use is authorised.
## 4. Compliance, records and controls
Marshgate will complete roof repairs and provide a capped electrical supply before access. Fieldstone funds its internal fit-out under landlord-approved drawings, obtains building-control and planning approvals, and removes or makes good alterations at expiry unless the landlord agrees otherwise.
## 5. Term, ending and remedies
The tenant may request a tenant break on 31 August 2034 by giving nine months’ notice, conditional on basic rent being paid, giving vacant possession and leaving no material breach. The proposed lease is inside the Landlord and Tenant Act 1954, so statutory security-of-tenure rights apply unless the parties later agree a valid contracting-out procedure.
## 6. Liability and reservations
These heads are not an offer, lease, agreement for lease or commitment to grant a tenancy. Only the formal lease signed after searches, board approvals, lender consent and agreed documents will bind the parties; confidentiality, exclusivity for 30 days and costs are binding as stated here.
## 7. Governing law and signatures
Each party pays its own costs; Fieldstone pays Marshgate’s reasonable legal costs of the formal lease if agreed. English law applies and disputes go to the courts of England and Wales. Directors Lucy Grant and Tom Alvarez sign this record on 23 May 2029.